Welcome to the Treehouse Community

Want to collaborate on code errors? Have bugs you need feedback on? Looking for an extra set of eyes on your latest project? Get support with fellow developers, designers, and programmers of all backgrounds and skill levels here with the Treehouse Community! While you're at it, check out some resources Treehouse students have shared here.

Looking to learn something new?

Treehouse offers a seven day free trial for new students. Get access to thousands of hours of content and join thousands of Treehouse students and alumni in the community today.

Start your free trial

Data Analysis Financial Statement Basics The Profit & Loss Statement Profit & Loss Statement Assessment

Sifan Wang
Sifan Wang
661 Points

SG&A expansion here refers to absolute or relativ? (sg&a)2/Revenue2 - (sg&a)1/Rev1 is absolute, how to calculate relativ

SG&A expansion here refers to absolute or relativ? 10972/141546 - 10763/140546 is absolute rate, how to calculate relativ rate?

1 Answer

Steven Parker
Steven Parker
229,644 Points

What's "relative" about it is that you are comparing one year to another.

And you have the right formula, but you just plugged in the wrong values from the table. The question is asking for the margin change from Year 2 to Year 3